UK Grocery Inflation Slows to 3.3% as Supermarkets Boost Discounts

Promotions and increased spending on own-label products helped ease grocery price inflation for the first time in six months.

Grocery price inflation in the UK fell to 3.3% in January, down from 3.7% in December, marking the first slowdown in six months.
Supermarket promotions accounted for 27.2% of sales, the highest level since 2021, with spending on discounted items rising by £274 million year-on-year.
Consumers increasingly turned to own-label products, which reached a record 52.3% share of grocery sales, with spending on these items rising 5.4%.
Fresh produce sales grew significantly, with shoppers spending £1.2 billion on fresh fruits, vegetables, and salads in January, £193 million more than in December.
Discounters Lidl and Aldi saw strong sales growth, while Tesco gained the most market share, rising to 28.5%, as Asda continued to struggle with declining sales.